Book by PM’s economic advisor wins award

NEW DELHI - “Fault Lines: How Hidden Fractures Still Threaten the World Economy, by Raghuraman Rajan, an economic advisor to Indian Prime Minister Manmohan Singh, won the Financial Times and the Goldman Sachs Business Book of the Year Award 2010.

Carrying a cash award of 30,000 pounds, the award was given at a function in New York Wednesday. This year’s judges include Lionel Barber, Liaquat Ahamed, Helen Alexander, Lynda Gratton, Mario Monti, Jorma Ollila and Shriti Vadera.

The book looks at the hard choices that will prevent another recession like the one in 2008, following the financial collapse of 2007.

While there are broad similarities in the things that go wrong in every financial crisis, this was a crisis centred on what many would agree is the most sophisticated financial system in the world.

Rajan was the economic counsellor and director of research (chief economist) at the International Monetary Fund from September 2003 until January 2007.

Currently the Eric J. Gleacher distinguished service professor of finance at the University of Chicagos Graduate School of Business, Rajan was appointed economic advisor to the Indian prime minister in 2008.

He has co-authored a book titled, Saving Capitalism from the Capitalists.